Ficci Bats for Government Panel Recommendations on Manufacturing

New Delhi: Ficci today said the Ajay Shankar Committee’s recommendations for creating an investor friendly pre-existing regulatory framework replacing multiple prior permissions, if implemented, can bring down the transaction cost and time for Indian manufacturers significantly.

The government-constituted expert panel had suggested introduction of credible third-party certification in most areas of regulation and adopting global best practices for emission norms, among other steps to cut down on multiple permissions needed by investors.

It had also recommended that there is a need for a standing institutional mechanism within the government for an independent regulatory impact assessment yesterday.

“We urge the government to devise a time-bound roadmap for implementation of the recommendations of as these if implemented can bring down the transaction cost and time for Indian manufacturers significantly. Particularly, the recommendation on third party certification can be implemented swiftly,” Ficci Secretary General A Didar Singh said.

“The time is also ripe to implement these recommendations as India has been termed a bright spot in the global economy and both Indian and global investors are now expecting government to reduce the regulatory burden of starting and operating business in India significantly,” added Singh.

The expert committee was constituted by DIPP to examine the possibility of replacing multiple prior permissions with a pre-existing regulatory mechanism with adequate safeguards.

The 11-member committee chaired by former Secretary in the Department of Industrial Policy and Promotion (DIPP) Ajay Shankar has recommended the way forward for creating an investor friendly pre-existing regulatory framework replacing multiple prior permissions with adequate safeguards for making India one of the most attractive investment destinations.

For start-ups, the committee had suggested that steps like earmarking of mixed land use redevelopment or greenfield development; exempting them from the requirement of seeking building plan approvals would give a boost to the ecosystem.

[“source-ndtv”]

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